process whereby managers monitor and regulate how efficiently and effectively an organization and its members are performing the activitites necessary to achieve goals
formal target-setting, monitoring, evaluation and feedback systems that provide managers with information about how well the strategy and structure are working
Four steps in control process
1) establish standards of performance, goals or targets against which performance is evaluated
2) Measure actual performance. By 1) Actual outputs that result from the behavior of members 2) the behaviors themselves
3)Compare actual performance against chosen standards of performance
4) evaluate the result and initiate corrective action if the standard is not being achieved
Measure how efficiently managers are using the organization's resources to generate profits
Measure how well managers have protected organizational resources to be able to meet short term obligations
help to assess efficiency and effectiveness; also tell managers when they need to reorganize, sell divisions, exit from business and rethink strategy
It is vital that the goals set at each level harmonize with the goals set at other levels so that managers and other employees can work together
Allows managers to become personally involved with subordinates. Allows them to mentor and develop skills
Management By Objectives
is a formal system of evaluating subordinates on their ability to achieve specific organizational goals or performance standards and to meet operating budgets 1) set specific goals and objectives 2) determine subordinates goals 3) periodically review the subordinates progress
Control of behavior by means of a comprehensive system of rules and standard operating procedures
Control that gives managers immediate feedback on how efficiently inputs are being transformed into outputs so managers can correct problems as they arise.
Control that gives managers information about customers' reactions to goods and services so corrective action can be taken if necessary.
4 Steps in Organizational Control
1) Establish the standards of performance 2) Measure actual performance 3) Compare actual performance against chosen standards of performance 4) Evaluate the result and initiate corrective action
The control exerted on individuals and groups in an organization by shared values, norms, standards of behavior, and expectations.
Physiological needs, safety needs, belongingness needs, esteem needs, self actualization needs
Alderfers ERG theory
1. existence (safety/physiological) 2.relatedness(belongingness) 3.growth (esteem and self actualization)
Motivator Needs (intrinsic-related to the nature of work itself) hygiene needs (extrinic-related to the physical and psychological context in which the work is performed
a perception about the extent to which performance results in the attainment of outcomes
a theory that focuses on identifying the types of goals that are most effective in producing high levels of motivation and performance and explaining why goals have these effects; expectancy theory: E to P to O (valued)
a theory of motivation that focuses on people's perceptions of the fairness of their work outcomes relative to their work inputs
the process by which an individual exerts influence over other people and inspires, motivates, and directs their activities to help achieve group or organizational goals
the authority that a manager has by virtue of his or her position in an organization's hierarchy
power that is based on the special knowledge, skills, and expertise that a leader possesses
(relationship focused) is behavior indicating that a manager trusts, respects, and cares about subordinates
(task focused) is behavior that managers engage in to ensure that work gets done, subordinates perform their jobs acceptably, and the organization is efficient and effective
leaders whose primary concern is to develop good relationships with their subordinates and to be like by them
leaders whose primary concern is to ensure that subordinates perform at a high level
the extent to which followers like, trust, and are loyal to their leader; a determinant of how favorable a situation is for leading
the extent to which the work to be performed is clear-cut so that a leader's subordinates know what needs to be accomplished and how to go about doing it; a determinant of how favorable a situation is for leading
the amount of legitimate, reward, and coercive power that a leader has by virtue of his or her position in an organization; a determinant of how favorable a situation is for leading
a contingency model of leadership proposing that leaders can motivate subordinates by identifying their desired outcomes, rewarding them for high performance and the attainment of work goals with these desired outcomes, and clarifying for them the paths leading to the attainment of work goals
Steps of Path Goal Theory
(1) Find out what outcomes your subordinates are trying to obtain from their jobs and the organization. Expectancy theory: effort
(2) Reward subordinates for high performance and goal attainment with the outcomes they desire. Expectancy theory: performance
(3) Clarify the paths to goal attainment for subordinates, remove any obstacles to high performance, and express confidence in subordinates' capabilities. Expectancy theory: valued outcomes
expressing concern and look out for the subordinates best interests, relationship/consideration
giving subordinates say in matters and decisions that affect them, listen to employees, leaders make final decision
motivate subordinates to perform at the highest level, big picture goal and empower employees to achieve it
A characteristic of a subordinate or of a situation or context that acts in place of the influence of a leader and makes leadership unnecessary.
leadership that makes subordinates aware of the importance of their jobs and performance to the organization and aware of their own needs for personal growth and that motivates subordinates to work for the good of the organization; growth of employee, leader has a vision that requires transformation, influence tactic: inspirational appeal
leadership that motivates subordinates by rewarding them for high performance and reprimanding them for low performance
an enthusiastic, self-confident leader who is able to clearly communicate his or her vision of how good things could be; transformational leaders work to make their subordinates feel respected and motivated by acting excited, enthusiastic, and self-confident
is the inner-guiding moral principles, values, and beliefs that people use to analyze or interpret a situation and then decide what is the "right" or appropriate way to behave
Stockholders, managers, customers, community, society, nation-state, suppliers and distributors, employees, creditors
an ethical decision is a decision that produces the greatest good for the greatest number of people; limitation: benefits/harm
Moral Rights Rule
an ethical decision is one that best maintains and protects the fundamental or inalienable rights and privileges of the people affected by it; limitation: how decisions that will protect the rights of some stakeholders often hurt the rights of others
an ethical decision is a decision that distributes benefits and harms among people and groups in a fair, equitable, or impartial way; limitation: determine the fair rules and procedures for distributing outcomes to stakeholders
an ethical decision is one that a manager has no reluctance about communicating to people outside the company because the typical person in a society would think it is acceptable; limitation: ensuring that managers are taking into account the interests of all stakeholders
Operant conditioning theory
theory that people learn to perform behaviors that lead to desired consequences and learn not to perform behaviours that lead to undesired conseuquences
Companies and their managers choose not to behave in a socially responsible way and instead behave unethically and illegally.,
Companies and their managers behave ethically to the degree that they stay within the law and strictly abide by legal requirements.
Companies and their managers behave legally and ethically and try to balance the interests of different stakeholders as the need arises.
Companies and their managers actively embrace socially responsible behavior, going out of their way to learn about the needs of different stakeholder groups and using organizational resources to promote the interests of all stakeholders.
A manager responsible for communicating and teaching ethical standards to all employees and monitoring their conformity to those standards.,
Behavior a leader engages in to make followers be aware of problems and view these problems in new ways, consistent with the leader's vision.
Behavior a leader engages in to support and encourage followers and help them develop and grow on the job.